Canadian Tire is acquiring a 25% equity interest in Ashcroft Terminal, British Columbia’s largest inland port that handles 7,000 railcars and 6,000 trucks per year.
PSA International, which retains a 60% stake, continues to operate the facility. The remaining 15% is held by founding partner CrescentView Investments.
Ashcroft Terminal offers railcar storage and transloading service for intermodal activity, materials handling, and railcar maintenance. It’s located 300 km east of Vancouver, and is the only privately-owned property connected by Canadian National and Canadian Pacific railway lines. It’s also located close to the province’s highway network.
Funds will reportedly be used to invest in infrastructure and capacity, while Canadian Tire will secure tailored solutions for retailers and services for bulk customers.
” We have the potential to increase the efficiency and sustainability of the supply chain for containers imported and exported through the marine terminals in Vancouver,” said Enno Koll, CEO, Ashcroft Terminal and regional head of PSA Americas. “Ashcroft Terminal facilitates the shift from truck to rail and significantly reduces the movement of trucks in the busy Metro Vancouver area.”
“This investment will drive improvements in our network lead time and fulfillment performance, which are core to our domestic supply chain strategy,” said Paul Draffin, Canadian Tire’s chief supply chain officer.
“Having strategic access to high-demand capacity will enable greater control over our end-to-end supply chain, which has become increasingly critical in a time where global supply chains have been completely disrupted and new resiliency is required.”